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2019 (4) TMI 1199 - AT - Central ExciseValuation of goods sold at the depots - Finalization of provisional assessment - adoption of transaction value to finalise the ‘provisional assessment’ of goods sold at the depots instead of ascertainment under rule 7 of Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000 - clearance of goods on stock transfer basis - HELD THAT:- The scheme of valuation provides for assessment of duty on the transaction value which conforms to the parameters laid down in section 4 (1) of Central Excise Act, 1944. Such assessment may be final or could be deferred for final assessment through recourse to rule 7 of Central Excise Rules, 2002. In either situation, the transaction value is to be adopted unless at the time of clearance and assessment, under rule 5 of Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2002 there is lack of conformity to the word picture depicted in section 4(1)(a) of Central Excise Act, 1944. Therefore, it is only when the assessee opts for final assessment in the first instance despite doubt about rate of duty or valuation at the place of removal that recourse may be had to Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2002. Any other interpretation would render the provisions of rule 7 of Central Excise Rules, 2002 to be inoperable and superfluous. It is seen from the records that the order of the competent authority for provisional assessment, under rule 7 of Central Excise Rules, 2002, requires that the assessment be finalised at the end of every quarter. The said rule prescribes an outer time limit of six months for such finalisation which may be extended by the competent authority. Should be goods remain unsold beyond such statutory limit, the absence of a transaction value from the depot would bring the impugned goods within the ambit of section 4 (1)(b) of Central Excise Act, 1944 and rule 7 of Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2002. Appeal dismissed - decided against Revenue.
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